Debbie is a buyer for a retail chain and needs to decide what order quantity to place for women's coats for the upcoming winter season.
Below is a payoff table, in thousands of dollars, for various order quantities (1 = lowest, 4 = highest) and demand levels for the winter coats. DemandOrder Size Fair Good ExcellentOrder Quantity 1 0 40 110Order Quantity 2 160 90 370Order Quantity 3 330 170 670Order Quantity 4 640 240 880If the Debbie uses the minimax regret criterion, which order size will she place?A) Order Quantity 1
B) Order Quantity 2
C) Order Quantity 3
D) Order Quantity 4
Question 2
AT&T would like to investigate if brand of smartphone and income level are independent variables. The following contingency table shows the number of customers who own three brands of smartphones along with their income level.
SmartphoneIncome Level iPhone Samsung MotorolaLess than 50,000 15 20 1550,000-100,000 15 50 25More than 100,000 10 20 30The expected number of customers who own an iPhone and earn more than 100,000 is ________.A) 10.0
B) 12.0
C) 17.5
D) 22.5
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